BMS and Lonza announce expansion plans
pharmafile | October 31, 2014 | News story | Manufacturing and Production, Sales and Marketing | BMS, Lonza, Orencia, manufacturing, opdivo
Bristol-Myers Squibb (BMS) and Lonza are to expand upon an existing manufacturing agreement to meet anticipated demand for commercial biologics.
The plans will see the production of commercial quantities of a second BMS biologic medicine at Lonza’s mammalian manufacturing facility in the US. The two firms have been collaborating since 2003 to produce various biotech treatments marketed by BMS.
“We are pleased to extend our relationship with BMS for the commercial production of their innovative drug substance, says Marc Funk, chief operating officer of Lonza’s Pharma & Biotech Segment.
The Swiss company manufactures pharma, biotech and speciality ingredients from its 40 facilities worldwide also produces clinical supplies of investigational biologics medicine for BMS.
“Our expanded relationship with Lonza is an important example of our global manufacturing strategy to meet anticipated demand for our commercial biologics portfolio and prepare to bring our late-stage clinical assets to patients by supplementing our in-house manufacturing capabilities,” says Lou Schmukler, president, Global Manufacturing and Supply, BMS.
In October BMS announced that sales of its rheumatoid arthritis treatment Orencia (abatacept) which Lonza supplied ingredients for until last year – had reached $444 million in Q3.
Lonza itself generated sales of around $3.75 billion in 2013, although today Bloomberg announced that the Swiss manufacturer’s shares had tumbled by 8.5% in Zurich trading.
Meanwhile BMS announced this month that it would not be attempting to bring its new combination hepatitis C treatment to the US market due to competition from its rivals. The firm has also withdrawn its new drug application for asunaprevir, its NS3/4A protease inhibitor.
On a more positive note BMS is still in the race to gain significant market share in the PD-1 therapeutic vaccine race, following the release of positive mid-stage data for its new drug Opdivo (nivolumab).
Financial ups-and-downs aside, both firms will be hoping that this new multi-year expansion agreement will increase both sales and R&D success in 2015.
Tom Robinson
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